– Italian political risk led to a sell-off in Italian government debt, but this did not spread to all of Europe. – Yields in Germany fell, indicating that European investors sought refuge in the perceived safety of German government bonds. Click here to download a PDF...
– Interest rates have risen accordingly to more normalized levels. Although this reflects a strengthening economy, it has made for a difficult two years for high-quality fixed income. – Although investors may be questioning the worth of high-quality fixed income in...
– The macroeconomic backdrop supports a gradual approach to raising rates, and market sentiment indicates four rate hikes this year remains likely. – Still, the Federal Reserve (Fed) must contend with crosswinds from trade rifts, inflation, currencies, and the yield...
– The S&P 500 has historically grown an average of nearly 10% over the final five months of the year when each month from April through July was higher (as is the case in 2018). – This trend suggests higher prices may be likely going into the end of 2018. Click...
– Shorter-term break-even inflation rates have dropped to their lowest levels of the year. – This movement implies market expectations for persistent inflation continue to dwindle, even amid the strongest Consumer Price Index and Producer Price Index readings of the...
